BlackBerry's second quarter financial results have revealed that the company lost $965 million (£600 million) in just 90 days.

Revenues of $1.6 billion (£994 million) failed to offset inventory provision for the BlackBerry Z10 smartphone, suggesting that the device has been a commercial failure.

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The Canadian manufacturer sold approximately 3.7 million handsets during Q2, though many of these were BlackBerry 7 devices.

However, many of the BlackBerry 10 phones shipped during the quarter will not show up in the firm's financial results until they have been sold on to customers.

"We are very disappointed with our operational and financial results this quarter and have announced a series of major changes to address the competitive hardware environment and our cost structure," said Thorsten Heins, the company's president and CEO.

"While our company goes through the necessary changes to create the best business model for our hardware business, we continue to see confidence from our customers through the increasing penetration of BES 10, where we now have more than 25,000 commercial and test servers installed to date, up from 19,000 in July 2013.

"We understand how some of the activities we are going through create uncertainty, but we remain a financially strong company with $2.6 billion in cash and no debt. We are focused on our targeted markets, and are committed to completing our transition quickly in order to establish a more focused and efficient company."

Approximately 5.9 million BlackBerry smartphones were sold during Q2, including devices shipped during the previous quarter.